Turkey’s Central Bank announces interest rate decision raising policy rate to 45 percent

The Monetary Policy Committee of the Central Bank (CBRT) raised the policy rate to 45 percent in today’s meeting. The decision conveyed a message that the interest rate hikes have come to an end.

The Monetary Policy Committee (MPC) of the Central Bank (CBRT) announced its interest rate decision. The committee raised the policy rate to 45 percent with a 250 basis point increase, in line with market expectations.

The decision conveyed a message that the interest rate hike cycle has come to an end, stating, “Considering the delayed effects of monetary tightening, the Committee has evaluated that the necessary level of monetary tightening for the establishment of disinflation has been reached, and it will be maintained as long as necessary.”